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Malaysian Manufacturers Eye U.S.

Thomas Russell -- Kids Today, 4/13/2011 6:02:29 AM

KUALA LUMPUR, Malaysia - Youth furniture producers showing at the March 1-5 Malaysian International Furniture Fair came out of the show optimistic about their prospects for 2011.
     That said, much of their sites remained on the U.S. market, among the largest, if not the largest, in the world in consumer furniture sales.
     Malaysia, already a global player in case goods production, remains an important source for youth bedroom. This is partly because some master bedroom producers are equipped to also make youth bedroom and also because of the available supply of rubberwood and other raw materials.
     At MIFF, L.B. Furniture showed a line of bunk beds and other youth bedrooms, which combined make up 40% of company sales. It also sells a line of futons.
     While it sells to Russia, Australia and the Middle East, the U.S. remains its largest export customer, said Esther Er, marketing manager.

The Amelia girl’s bedroom by Crown Furniture includes this bed, wardrobe, desk and bookcase unit in pink and white finish with heart shaped accents. In the U.S. it would have an estimated retail of $599 to $699.
	These cribs are made of solid pine by Indonesian manufacturer Hakari Solid Wood Furniture. They have an estimated retail between $199 and $249.
These car beds are part of the Smart Kids Furniture line by Kimyee Furniture. In the U.S. they would have an estimated retail of about $249.
	The Crystal Loft bunk bed and desk by Yution Enterprise includes a built-in student desk, chair and bookcase unit and has an estimated retail of $899. It is shown here in a white finish, but also comes in espresso and light cherry finishes.
L.B. Furniture showed this youth set, which includes a bunk bed, student desk and dresser. It is made with rubberwood solids and okume veneers and comes in a merlot finish.

     Today, due partly to soft sales in the U.S. and some other markets, its 400-worker factory in Muar, Malaysia, is producing about 100 containers a month, two-thirds of its 150-container- a-month capacity.
     Still, Er remains optimistic about the year ahead.
     "We are expecting a better response," she said of this year's show. "We feel it is starting to come back."
     Hakari, an Indonesian producer of solid pine cribs and bunk beds, does about half its business in exports and the remainder to the domestic Indonesian market.
     At present the company does not sell to the U.S. market. At the show, representatives hoped to meet and eventually sell new customers in the U.S., but for now its primary export markets are the Japan, Dubai and Russia.
     Kimyee Furniture, which markets the Smart Kids Furniture line, also does not currently sell to the U.S. market.
     "We mainly sell to Europe," said Jeremy Yuen, a regional marketing director. "It's time for us to expand and explore other areas."
     He said the company has had sporadic interest from U.S. buyers attending the MIFF show in the past. However, that has not turned into sales.
     "They make inquiries and then it goes quiet," he said.
     Yuen was hopeful that would change with this year's show, where it displayed a line of complete girls and boys bedrooms and other novelty items such as race car and school bus beds targeted to retail as low as $249.
     To break into the market, he said he was seeking specific information about buyers' needs. For those who don't place an order at market, he will send follow up e-mails and other marketing materials they may need to make a decision.
     "If they can give me some specific answer about what they want, we are on the right track," he said. "I will have the information to assist them."

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